ridethepig | VIX Exploding
Updated
đź“Ś ridethepig | VIX Exploding
Morning all... a short post, but one that is full of dramatic events. The 'discovered naked short' from wsb is a wildfire burning...the cleanest place to see the damage is in vol. This discovered vector in GME clarified the damaged relationship between central banks and market pricing while QE infinity provides a cover a 'risk free' environment. It's very similar to the round trip explosion we traded last year from 12 to 85 and back again.
When you pin shorts (the root of all evil), whether its GME, BB or VIX... it has enormous mobility. The magic of reddit has exposed Melvin Capital, Blackrock (own +/- 10% of GME) et al, while Citadel cheerlead in the background and will of course be fine and make money either way.
Let us take a closer look at the possible moves with the VIX; I find that the 44 pivot which is in the crosshairs can do one of two things;
a) The offer can evaporate rather quickly, even if it was previously nailed by barrier, which will trigger a momentum gambit towards 85.
b) We can attack and our opponent (sellers) without any anxiety step back in to occupy the control since it is their jurisdiction, i.e. one ladder that is controlled by your opponent.
Now consider the latest chart update:
Here a) was very much dependent on the October 2020 highs. Bear in mind how unafraid the buyers which are moving with force are. The wildfires are capable of satisfying a healthy appetite from retailers. with that in mind we are going to see capitulation across some more names.
Thanks as usual for keeping the feedback coming đź‘Ť or đź‘Ž
Morning all... a short post, but one that is full of dramatic events. The 'discovered naked short' from wsb is a wildfire burning...the cleanest place to see the damage is in vol. This discovered vector in GME clarified the damaged relationship between central banks and market pricing while QE infinity provides a cover a 'risk free' environment. It's very similar to the round trip explosion we traded last year from 12 to 85 and back again.
When you pin shorts (the root of all evil), whether its GME, BB or VIX... it has enormous mobility. The magic of reddit has exposed Melvin Capital, Blackrock (own +/- 10% of GME) et al, while Citadel cheerlead in the background and will of course be fine and make money either way.
Let us take a closer look at the possible moves with the VIX; I find that the 44 pivot which is in the crosshairs can do one of two things;
a) The offer can evaporate rather quickly, even if it was previously nailed by barrier, which will trigger a momentum gambit towards 85.
b) We can attack and our opponent (sellers) without any anxiety step back in to occupy the control since it is their jurisdiction, i.e. one ladder that is controlled by your opponent.
Now consider the latest chart update:
Here a) was very much dependent on the October 2020 highs. Bear in mind how unafraid the buyers which are moving with force are. The wildfires are capable of satisfying a healthy appetite from retailers. with that in mind we are going to see capitulation across some more names.
Thanks as usual for keeping the feedback coming đź‘Ť or đź‘Ž
Note
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.